Brian Halla Gross Quotations

We are ahead of our gross margin goals and we are continuing in the same direction.

Led by robust analog and wireless sales, we had an outstanding quarter. Focus on execution drove our gross margins to 51 percent, up from 48 percent in the previous quarter.

Business conditions were stronger than we had originally anticipated. We reached our interim goal of 60 percent gross margin earlier than we expected and at the same time continued to gain market share in the analog standard linear market.

We ended the year with over a billion dollars in cash reserves, a 21 percent return on invested capital and a stronger analog portfolio. Our goal in fiscal 2006 is to drive gross margins even higher.